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World’s largest public companies. Forbes (May 6, 2015) surveyed the 20 largest public companies in the world. Of these 20 companies, 4 were banking or investment companies based in the United States. A total of 9 U.S. companies were on the top 20 list. Suppose we select one of these 20 companies at random. Given that the company is based in the United States, what is the probability that it is a banking or investment company?

Short Answer

Expert verified

4/9

Step by step solution

01

Step-by-Step SolutionStep 1: Investment

The devotion of an asset to achieve a gain in value through time is referred to as an investment. Investment necessitates the sacrifice of a current item, including such work, cash, as well as endeavor.

02

Finding the probability that 1 out of 20 companies is a banking or investment company

Given: Total Companies = 20

Total U.S. companies = 9

Banking or investment companies are U.S. = 4

We have to find the probability of picking 1 company that is banking or an investment company, given that it is from the U.S

Probabilty=BankingorinvestmentcompaniesisU.S.TotalU.S.companies=49=0.444

Therefore, the probability of picking U.S.-based banking or an investment company is 4/9.

= 0.444

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Most popular questions from this chapter

For two events, A and B, P(A)= .4, P(B)= .2 , and P(AB) = .1:

a. Find P (A/B).

b. Find P(B/A).

c. Are A and B independent events?

Investing in stocks. From a list of 15 preferred stocks recommended by your broker, you will select three to invest in. How many different ways can you select the three stocks from the 15 recommended stocks?

Condition of public school facilities. The National Center for Education Statistics (NCES) conducted a survey on the condition of America’s public school facilities. The survey revealed the following information. The probability that a public school building has inadequate plumbing is .25. Of the buildings with inadequate plumbing, the probability that the school has plans for repairing the building is .38. Find the probability that a public school building has inadequate plumbing and will be repaired.

Random shuffling of songs on Spotify. Spotify is a music streaming service that offers both free and subscription options. Users can create playlists and choose to use Spotify’s random shuffling feature to play back the songs. When the shuffling feature was first introduced, many users complained that the algorithm was not working. For example, in a playlist consisting of 2 songs by The White Stripes, 2 by Adele, and 1 by Maroon Five, two possible random orderings of the songs are:

A = {Adele 1, Adele 2, White Stripes 1, White Stripes 2, Maroon Five}

B = {Adele 2, White Stripes 1, Maroon Five, White Stripes 2, Adele 1}

  1. Find the probability that Adele 1 is selected as the first song to play from the playlist.
  2. Given that Adele 1 is selected as the first song, what is the probability that Adele 2 is selected as the second song to play from the playlist?
  3. Given that Adele 1 and Adele 2 are the first two songs selected, what is the probability that White Stripes 1 is selected as the third song to play from the playlist?
  4. Given that Adele 1, Adele 2, and White Stripes 1 are the first three songs selected, what is the probability that White Stripes 2 is selected as the fourth song to play from the playlist?
  5. Given that Adele 1, Adele 2, White Stripes 1 and White Stripes 2 are the first four songs selected, what is the probability that Maroon Five is selected as the last song to play from the playlist?
  6. Find the probability of List A by multiplying the probabilities in parts a–e.
  7. Many users considered List B to be random, but not List A. Demonstrate that the probability of List B is the same as the probability of List A. [Note: In response to user complaints, Spotify now uses a different random shuffling algorithm, one that prevents an outcome like List A from occurring.]

Suppose the events B1and B2are mutually exclusive and complementary events, such thatP(B1)=.75andP(B2)=.25 Consider another event A such that role="math" localid="1658212959871" P(AB1)=.3, role="math" localid="1658213029408" P(AB2)=.5.

  1. FindP(B1A).
  2. FindP(B2A)
  3. Find P(A) using part a and b.
  4. Findrole="math" localid="1658213127512" P(B1A).
  5. Findrole="math" localid="1658213164846" P(B2A).
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